***Sureg Analysis of Data***

***Krause - Zarit - Regional Convergence***


*************     OPEN LOG FILE     ************

log using "E:\Zarit Project\Regional Convergence.Krause & Zarit.06-08-2015.SUR NW MODELS.FULL CONTROLS.smcl" 



*************     DYNAMIC ECONOMETRIC MODELS, I: OLS WITH NEWEY-WEST VCV ESTIMATION   ******************




******** OPEN DATABASE ****************

use "C:\Users\mzarit\Dropbox\Development Cycles in the American States (Krause & Zarit)\Zarit Findings\Replication Materials\Data\Regional Convergence.Krause & Zarit.DATABASE.dta", clear


set more off


tsset state_fips year, yearly


log using "regionalconvergence_10-08-2015 sureg_fullcontrols", replace





********************************************************************************
********************************************************************************
*** Non-Southern States******************************************************************

preserve

******************************************************************************
*** FULL TIME PERIOD *********************************************************

sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work  l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified i.state_fips i.year) (d.klarnerranney  l.klarnerranney l.real_pc_inc_ann l.d.klarnerranney d.real_pc_inc_ann  l2.d.klarnerranney  l.d.real_pc_inc_ann  l3.d.klarnerranney l2.d.real_pc_inc_ann  l4.d.klarnerranney l3.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1  i.state_fips i.year) if nonsouth==1, corr



*****INCOME TESTS****

* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY) *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_real_pc_inc_ann]d.klarnerranney +  [D_real_pc_inc_ann]l.d.klarnerranney +  [D_real_pc_inc_ann]l2.d.klarnerranney 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann]



****** PC TESTS************


* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_klarnerranney]l.klarnerranney = 0 


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY) *

test [D_klarnerranney]l.klarnerranney = [D_klarnerranney]l.real_pc_inc_ann = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_klarnerranney]d.real_pc_inc_ann +  [D_klarnerranney]l.d.real_pc_inc_ann  +  [D_klarnerranney]l2.d.real_pc_inc_ann +  [D_klarnerranney]l3.d.real_pc_inc_ann 


* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_klarnerranney]_b[l.real_pc_inc_ann]/-[D_klarnerranney]_b[l.klarnerranney]




******************************************************************************
*** 1942 - 1980 **************************************************************

sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney  l4.d.real_pc_inc_ann l3.d.klarnerranney l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work  l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified  i.state_fips i.year) (d.klarnerranney  l.klarnerranney l.real_pc_inc_ann l.d.klarnerranney d.real_pc_inc_ann  l2.d.klarnerranney  l.d.real_pc_inc_ann  l3.d.klarnerranney l2.d.real_pc_inc_ann  l4.d.klarnerranney l3.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1  i.state_fips i.year) if year <=1980 & nonsouth==1, corr

predict real_pc_inc_annhatallpre if year<=1980 & nonsouth==1, equation(D_real_pc_inc_ann)

predict klarnerranneyhatallpre if year<=1980 & nonsouth==1, equation(D_klarnerranney)



*****INCOME TESTS*****

* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY) *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_real_pc_inc_ann]d.klarnerranney +  [D_real_pc_inc_ann]l.d.klarnerranney +  [D_real_pc_inc_ann]l2.d.klarnerranney 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann]




sum klarnerranney   if real_pc_inc_annhatallpre!=. & year <= 1980 & nonsouth==1, detail



* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS  OF klarnerranney ON real_pc_inc_ann:  75TH PERCENTILE VALUE OF klarnerranney MINUS 25TH PERCENTILE VALUE OF klarnerranney FOR EFFECTIVE SAMPLE PERIOD *


nlcom  ([D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*88  - ([D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*57.88889



***** PC TESTS*****

* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_klarnerranney]l.klarnerranney = 0 


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY) *

test [D_klarnerranney]l.klarnerranney = [D_klarnerranney]l.real_pc_inc_ann = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_klarnerranney]d.real_pc_inc_ann +  [D_klarnerranney]l.d.real_pc_inc_ann  +  [D_klarnerranney]l2.d.real_pc_inc_ann +  [D_klarnerranney]l3.d.real_pc_inc_ann 


* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_klarnerranney]_b[l.real_pc_inc_ann]/-[D_klarnerranney]_b[l.klarnerranney]



sum real_pc_inc_ann   if klarnerranneyhatallpre!=. & year<=1980 & nonsouth==1, detail


* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS  OF  real_pc_inc_ann ON klarnerranney:  75TH PERCENTILE VALUE OF real_pc_inc_ann MINUS 25TH PERCENTILE VALUE OF real_pc_inc_ann FOR EFFECTIVE SAMPLE PERIOD 


nlcom  ([D_klarnerranney]_b[l.real_pc_inc_ann] / -[D_klarnerranney]_b[l.klarnerranney])*11116.22   -  ([D_klarnerranney]_b[l.real_pc_inc_ann] / -[D_klarnerranney]_b[l.klarnerranney])*7127.247 





*******************************************************************************
*** 1981 - 2010 ***************************************************************

sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified   i.state_fips i.year) (d.klarnerranney  l.klarnerranney l.real_pc_inc_ann l.d.klarnerranney d.real_pc_inc_ann  l2.d.klarnerranney  l.d.real_pc_inc_ann  l3.d.klarnerranney l2.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1 i.state_fips i.year) if year >1980 & nonsouth==1, corr

predict real_pc_inc_annhatallpost if year>1980 & nonsouth==1, equation(D_real_pc_inc_ann)

predict klarnerranneyhatallpost if year>1980 & nonsouth==1, equation(D_klarnerranney)



***** INCOME TESTS*****

* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY) *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom   [D_real_pc_inc_ann]d.klarnerranney +  [D_real_pc_inc_ann]l.d.klarnerranney +  [D_real_pc_inc_ann]l2.d.klarnerranney



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann] 



sum klarnerranney   if  real_pc_inc_annhatallpost!=. & year > 1980 & nonsouth==1, detail



* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS  OF klarnerranney ON real_pc_inc_ann:  75TH PERCENTILE VALUE OF klarnerranney MINUS 25TH PERCENTILE VALUE OF klarnerranney FOR EFFECTIVE SAMPLE PERIOD *


nlcom  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*91.25554  -  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*65.40031 



***** PC TESTS*****


* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_klarnerranney]l.klarnerranney = 0 


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY) *

test [D_klarnerranney]l.klarnerranney = [D_klarnerranney]l.real_pc_inc_ann = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_klarnerranney]d.real_pc_inc_ann  +  [D_klarnerranney]l.d.real_pc_inc_ann  +  [D_klarnerranney]l2.d.real_pc_inc_ann 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_klarnerranney]_b[l.real_pc_inc_ann]/-[D_klarnerranney]_b[l.klarnerranney]




sum real_pc_inc_ann  klarnerranney  if klarnerranneyhatallpost!=. & year > 1980 & nonsouth==1, detail



* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS  OF  real_pc_inc_ann ON klarnerranney:  75TH PERCENTILE VALUE OF real_pc_inc_ann MINUS 25TH PERCENTILE VALUE OF real_pc_inc_ann FOR EFFECTIVE SAMPLE PERIOD 


nlcom  ([D_klarnerranney]_b[l.real_pc_inc_ann] / -[D_klarnerranney]_b[l.klarnerranney])*17661.71   -  ([D_klarnerranney]_b[l.real_pc_inc_ann] / -[D_klarnerranney]_b[l.klarnerranney])*13630.93



restore




********************************************************************************
********************************************************************************
*** Southern States******************************************************************

preserve

******************************************************************************
*** FULL TIME PERIOD *********************************************************

sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney   l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work  l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party i.state_fips i.year) (d.ihsklarnerranney  l.ihsklarnerranney l.real_pc_inc_ann l.d.ihsklarnerranney d.real_pc_inc_ann  l2.d.ihsklarnerranney  l.d.real_pc_inc_ann  l3.d.ihsklarnerranney l2.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1 i.state_fips i.year) if nonsouth==0, corr

predict real_pc_inc_annhatallfull if nonsouth==0, equation(D_real_pc_inc_ann)

predict ihsklarnerranneyhatallfull if nonsouth==0, equation(D_ihsklarnerranney)


***** INCOME TESTS*****


* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY) *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom [D_real_pc_inc_ann]d.klarnerranney +  [D_real_pc_inc_ann]l.d.klarnerranney +  [D_real_pc_inc_ann]l2.d.klarnerranney 


* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann] 


*

***** PC TESTS*****

* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_ihsklarnerranney]l.ihsklarnerranney = 0 


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY) *

test [D_ihsklarnerranney]l.ihsklarnerranney = [D_ihsklarnerranney]l.real_pc_inc_ann = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_ihsklarnerranney]d.real_pc_inc_ann +  [D_ihsklarnerranney]l.d.real_pc_inc_ann  +  [D_ihsklarnerranney]l2.d.real_pc_inc_ann 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_ihsklarnerranney]_b[l.real_pc_inc_ann]/-[D_ihsklarnerranney]_b[l.ihsklarnerranney]




******************************************************************************
*** 1942 - 1980 **************************************************************

sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified i.state_fips i.year) (d.ihsklarnerranney  l.ihsklarnerranney l.real_pc_inc_ann l.d.ihsklarnerranney d.real_pc_inc_ann  l2.d.ihsklarnerranney  l.d.real_pc_inc_ann  l3.d.ihsklarnerranney l2.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1 i.state_fips i.year) if year <=1980 & nonsouth==0, corr

predict real_pc_inc_annhatallpre if year<=1980 & nonsouth==0, equation(D_real_pc_inc_ann)

predict ihsklarnerranneyhatallpre if year<=1980 & nonsouth==0, equation(D_ihsklarnerranney)



***** INCOME TESTS*****

* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENIETY)*

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_real_pc_inc_ann]d.klarnerranney +  [D_real_pc_inc_ann]l.d.klarnerranney +  [D_real_pc_inc_ann]l2.d.klarnerranney 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann] 



sum klarnerranney  if real_pc_inc_annhatallpre!=. & year<=1980 & nonsouth==0, detail



* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS OF  klarnerranney ON real_pc_inc_ann:  75TH PERCENTILE VALUE OF klarnerranney MINUS 25TH PERCENTILE VALUE OF klarnerranney FOR EFFECTIVE SAMPLE PERIOD *


nlcom  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])* 39.39394  -  ([D_real_pc_inc_ann]_b[l.klarnerranney]  / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])* 1.923077


***** PC TESTS*****

 
* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_ihsklarnerranney]l.ihsklarnerranney = 0 


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENIETY)*

test [D_ihsklarnerranney]l.ihsklarnerranney = [D_ihsklarnerranney]l.real_pc_inc_ann = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_ihsklarnerranney]d.real_pc_inc_ann +  [D_ihsklarnerranney]l.d.real_pc_inc_ann +  [D_ihsklarnerranney]l2.d.real_pc_inc_ann 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_ihsklarnerranney]_b[l.real_pc_inc_ann]/-[D_ihsklarnerranney]_b[l.ihsklarnerranney]



sum real_pc_inc_ann   if ihsklarnerranneyhatallpre!=. & year<=1980 & nonsouth==0, detail

*


* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS  OF  real_pc_inc_ann ON ihsklarnerranney:  75TH PERCENTILE VALUE OF real_pc_inc_ann MINUS 25TH PERCENTILE VALUE OF real_pc_inc_ann FOR EFFECTIVE SAMPLE PERIOD 


nlcom  ([D_ihsklarnerranney]_b[l.real_pc_inc_ann] / -[D_ihsklarnerranney]_b[l.ihsklarnerranney])*8860.249   -  ([D_ihsklarnerranney]_b[l.real_pc_inc_ann] / -[D_ihsklarnerranney]_b[l.ihsklarnerranney])*4972.713




*******************************************************************************
*** 1981 - 2010 ***************************************************************

sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work  l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified i.state_fips i.year) (d.klarnerranney  l.klarnerranney l.real_pc_inc_ann l.d.klarnerranney d.real_pc_inc_ann  l2.d.klarnerranney  l.d.real_pc_inc_ann  l3.d.klarnerranney l2.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1 i.state_fips i.year) if year >1980 & nonsouth==0, corr

predict real_pc_inc_annhatallpost if year>1980 & nonsouth==0, equation(D_real_pc_inc_ann)

predict klarnerranneyhatallpost if year>1980 & nonsouth==0, equation(D_klarnerranney)


***** INCOME TESTS*****

* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENIETY)*

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_real_pc_inc_ann]d.klarnerranney + [D_real_pc_inc_ann]l.d.klarnerranney +  [D_real_pc_inc_ann]l2.d.klarnerranney 


* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann] 


sum klarnerranney real_pc_inc_ann  if real_pc_inc_annhatallpost!=. & year>1980 & nonsouth==0, detail

* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS OF klarnerranney ON real_pc_inc_ann:  75TH PERCENTILE VALUE OF klarnerranney MINUS 25TH PERCENTILE VALUE OF klarnerranney FOR EFFECTIVE SAMPLE PERIOD *


nlcom  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*83.33333  -  ([D_real_pc_inc_ann]_b[l.klarnerranney]  / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*46.58065 


***** PC TESTS*****

*
 
* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_klarnerranney]l.klarnerranney = 0 


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENIETY) *

test [D_klarnerranney]l.klarnerranney = [D_klarnerranney]l.real_pc_inc_ann = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_klarnerranney]d.real_pc_inc_ann +  [D_klarnerranney]l.d.real_pc_inc_ann +  [D_klarnerranney]l2.d.real_pc_inc_ann 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_klarnerranney]_b[l.real_pc_inc_ann]/-[D_klarnerranney]_b[l.klarnerranney]



sum real_pc_inc_ann  if klarnerranneyhatallpost !=. & year > 1980 & nonsouth==0, detail



* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS OF  real_pc_inc_ann ON klarnerranney:  75TH PERCENTILE VALUE OF real_pc_inc_ann MINUS 25TH PERCENTILE VALUE OF real_pc_inc_ann FOR EFFECTIVE SAMPLE PERIOD 


nlcom  ([D_klarnerranney]_b[l.real_pc_inc_ann] / -[D_klarnerranney]_b[l.klarnerranney])*15294.64   -  ([D_klarnerranney]_b[l.real_pc_inc_ann] / - [D_klarnerranney]_b[l.klarnerranney])*11966



restore 



preserve
********************************************************************************
********************************************************************************
*** 'New' Southern States******************************************************************


******************************************************************************
*** FULL TIME PERIOD *********************************************************

sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work  l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified i.state_fips i.year) (d.ihsklarnerranney  l.ihsklarnerranney l.real_pc_inc_ann l.d.ihsklarnerranney d.real_pc_inc_ann  l2.d.ihsklarnerranney  l.d.real_pc_inc_ann  l3.d.ihsklarnerranney l2.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1 i.state_fips i.year) if newsouth==1, corr

predict real_pc_inc_annhatallfull if newsouth==1, equation(D_real_pc_inc_ann)

predict ihsklarnerranneyhatallfull if newsouth==1, equation(D_ihsklarnerranney)

***** INCOME TESTS*****

* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY)*

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_real_pc_inc_ann]d.klarnerranney +  [D_real_pc_inc_ann]l.d.klarnerranney  +  [D_real_pc_inc_ann]l2.d.klarnerranney 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann] 


***** PC TESTS*****


* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_ihsklarnerranney]l.ihsklarnerranney = 0 


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY)*

test [D_ihsklarnerranney]l.ihsklarnerranney = [D_ihsklarnerranney]l.real_pc_inc_ann = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_ihsklarnerranney]d.real_pc_inc_ann  +  [D_ihsklarnerranney]l.d.real_pc_inc_ann  +  [D_ihsklarnerranney]l2.d.real_pc_inc_ann 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_ihsklarnerranney]_b[l.real_pc_inc_ann]/-[D_ihsklarnerranney]_b[l.ihsklarnerranney]




******************************************************************************
*** 1942 - 1980 **************************************************************

sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work  l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified i.state_fips i.year) (d.ihsklarnerranney  l.ihsklarnerranney l.real_pc_inc_ann l.d.ihsklarnerranney d.real_pc_inc_ann  l2.d.ihsklarnerranney  l.d.real_pc_inc_ann  l3.d.ihsklarnerranney l2.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1 i.state_fips i.year) if year <=1980 & newsouth==1, corr

predict real_pc_inc_annhatallpre if year<=1980 & newsouth==1, equation(D_real_pc_inc_ann)

predict ihsklarnerranneyhatallpre if year<=1980 & newsouth==1, equation(D_ihsklarnerranney)


***** INCOME TESTS*****

* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY)*

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_real_pc_inc_ann]d.klarnerranney +  [D_real_pc_inc_ann]l.d.klarnerranney +  [D_real_pc_inc_ann]l2.d.klarnerranney 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann] 



sum klarnerranney   if real_pc_inc_annhatallpre!=. & year<=1980 & newsouth==1, detail




* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS OF  klarnerranney ON real_pc_inc_ann:  75TH PERCENTILE VALUE OF klarnerranney MINUS 25TH PERCENTILE VALUE OF klarnerranney FOR EFFECTIVE SAMPLE PERIOD *


nlcom  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*25.56989  -  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*4.290876



***** PC TESTS *****

* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_ihsklarnerranney]l.ihsklarnerranney = 0 


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY)*

test [D_ihsklarnerranney]l.ihsklarnerranney = [D_ihsklarnerranney]l.real_pc_inc_ann = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_ihsklarnerranney]d.real_pc_inc_ann +  [D_ihsklarnerranney]l.d.real_pc_inc_ann  + [D_ihsklarnerranney]l2.d.real_pc_inc_ann 


* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_ihsklarnerranney]_b[l.real_pc_inc_ann]/-[D_ihsklarnerranney]_b[l.ihsklarnerranney]




sum real_pc_inc_ann   if ihsklarnerranneyhatallpre !=. & year<=1980 & newsouth==1, detail


* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS OF real_pc_inc_ann ON ihsklarnerranney:  75TH PERCENTILE VALUE OF real_pc_inc_ann MINUS 25TH PERCENTILE VALUE OF real_pc_inc_ann FOR EFFECTIVE SAMPLE PERIOD 


nlcom  ([D_ihsklarnerranney]_b[l.real_pc_inc_ann] / - [D_ihsklarnerranney]_b[l.ihsklarnerranney])*9803.36   -  ([D_ihsklarnerranney]_b[l.real_pc_inc_ann] / - [D_ihsklarnerranney]_b[l.ihsklarnerranney])*5533.502




*******************************************************************************
*** 1981 - 2010 ***************************************************************


sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified i.state_fips i.year) (d.klarnerranney  l.klarnerranney l.real_pc_inc_ann l.d.klarnerranney d.real_pc_inc_ann  l2.d.klarnerranney  l.d.real_pc_inc_ann  l3.d.klarnerranney l2.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1 i.state_fips i.year) if year >1980 & newsouth==1, corr

predict real_pc_inc_annhatallpost if year>1980 & newsouth==1, equation(D_real_pc_inc_ann)

predict klarnerranneyhatallpost if year>1980 & newsouth==1, equation(D_klarnerranney)



***** INCOME TESTS*****

* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENIETY)*

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_real_pc_inc_ann]d.klarnerranney + [D_real_pc_inc_ann]l.d.klarnerranney  +  [D_real_pc_inc_ann]l2.d.klarnerranney 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann] 




sum klarnerranney  if real_pc_inc_annhatallpost!=. & year>1980 & newsouth==1, detail


* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS OF klarnerranney ON real_pc_inc_ann:  75TH PERCENTILE VALUE OF klarnerranney MINUS 25TH PERCENTILE VALUE OF klarnerranney FOR EFFECTIVE SAMPLE PERIOD *


nlcom  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*85.82796   -  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*56.68817


***** PC TESTS*****

* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_klarnerranney]l.klarnerranney = 0 


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY)*

test [D_klarnerranney]l.klarnerranney = [D_klarnerranney]l.real_pc_inc_ann = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_klarnerranney]d.real_pc_inc_ann  +  [D_klarnerranney]l.d.real_pc_inc_ann  +  [D_klarnerranney]l2.d.real_pc_inc_ann 


* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_klarnerranney]_b[l.real_pc_inc_ann]/-[D_klarnerranney]_b[l.klarnerranney]



sum  real_pc_inc_ann    if klarnerranneyhatallpost!=. & year>1980 & newsouth==1, detail


* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS OF  real_pc_inc_ann ON klarnerranney:  75TH PERCENTILE VALUE OF real_pc_inc_ann MINUS 25TH PERCENTILE VALUE OF real_pc_inc_ann FOR EFFECTIVE SAMPLE PERIOD 


nlcom  ([D_klarnerranney]_b[l.real_pc_inc_ann] / - [D_klarnerranney]_b[l.klarnerranney])*16574.21   -  ([D_klarnerranney]_b[l.real_pc_inc_ann] / - [D_klarnerranney]_b[l.klarnerranney])*13297.69   




restore 


preserve

********************************************************************************
********************************************************************************
*** 'Old' Southern States******************************************************************


******************************************************************************
*** FULL TIME PERIOD *********************************************************


sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney  l4.d.real_pc_inc_ann l3.d.klarnerranney  l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work  l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified i.state_fips i.year) (d.ihsklarnerranney  l.ihsklarnerranney l.real_pc_inc_ann l.d.ihsklarnerranney d.real_pc_inc_ann  l2.d.ihsklarnerranney  l.d.real_pc_inc_ann  l3.d.ihsklarnerranney l2.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1 i.state_fips i.year) if oldsouth==1, corr

predict real_pc_inc_annhatallfullos if oldsouth==1, equation(D_real_pc_inc_ann)

predict ihsklarnerranneyhatallfullos if oldsouth==1, equation(D_ihsklarnerranney)


***** INCOME TESTS *****


* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY)*

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_real_pc_inc_ann]d.klarnerranney +  [D_real_pc_inc_ann]l.d.klarnerranney +  [D_real_pc_inc_ann]l2.d.klarnerranney +  [D_real_pc_inc_ann]l3.d.klarnerranney 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann] 


***** PC TESTS*****


* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_ihsklarnerranney]l.ihsklarnerranney = 0 


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY)*

test [D_ihsklarnerranney]l.ihsklarnerranney = [D_ihsklarnerranney]l.real_pc_inc_ann = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_ihsklarnerranney]d.real_pc_inc_ann +  [D_ihsklarnerranney]l.d.real_pc_inc_ann  +  [D_ihsklarnerranney]l2.d.real_pc_inc_ann 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_ihsklarnerranney]_b[l.real_pc_inc_ann]/-[D_ihsklarnerranney]_b[l.ihsklarnerranney]






******************************************************************************
*** 1942 - 1980 **************************************************************

sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work  l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified  i.state_fips i.year) (d.ihsklarnerranney  l.ihsklarnerranney l.real_pc_inc_ann l.d.ihsklarnerranney d.real_pc_inc_ann  l2.d.ihsklarnerranney  l.d.real_pc_inc_ann  l3.d.ihsklarnerranney l2.d.real_pc_inc_ann l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1 i.state_fips i.year) if year <=1980 & oldsouth==1, corr

predict real_pc_inc_annhatallpre if year<=1980 & oldsouth==1, equation(D_real_pc_inc_ann)

predict ihsklarnerranneyhatallpre if year<=1980 & oldsouth==1, equation(D_ihsklarnerranney)


***** INCOME TESTS *****

* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY)*

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0


* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom [D_real_pc_inc_ann]d.klarnerranney +  [D_real_pc_inc_ann]l.d.klarnerranney +  [D_real_pc_inc_ann]l2.d.klarnerranney 



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann] 



sum klarnerranney   if real_pc_inc_annhatallpre!=. & year<=1980 & oldsouth==1, detail


* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS  OF  klarnerranney ON real_pc_inc_ann:  75TH PERCENTILE VALUE OF klarnerranney MINUS 25TH PERCENTILE VALUE OF klarnerranney FOR EFFECTIVE SAMPLE PERIOD *


nlcom  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*44.05263  -  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*0.9433962


***** PC TESTS*****


* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_ihsklarnerranney]l.ihsklarnerranney = 0


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY)*

test [D_ihsklarnerranney]l.ihsklarnerranney = [D_ihsklarnerranney]l.real_pc_inc_ann = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_ihsklarnerranney]d.real_pc_inc_ann +  [D_ihsklarnerranney]l.d.real_pc_inc_ann +  [D_ihsklarnerranney]l2.d.real_pc_inc_ann + 0



* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_ihsklarnerranney]_b[l.real_pc_inc_ann]/-[D_ihsklarnerranney]_b[l.ihsklarnerranney]



sum real_pc_inc_ann    if ihsklarnerranneyhatallpre!=. & year<=1980 & oldsouth==1, detail



* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS OF  real_pc_inc_ann ON ihsklarnerranney:  75TH PERCENTILE VALUE OF real_pc_inc_ann MINUS 25TH PERCENTILE VALUE OF real_pc_inc_ann FOR EFFECTIVE SAMPLE PERIOD 


nlcom  ([D_ihsklarnerranney]_b[l.real_pc_inc_ann] / - [D_ihsklarnerranney]_b[l.ihsklarnerranney])*8432.818   -  ([D_ihsklarnerranney]_b[l.real_pc_inc_ann] / - [D_ihsklarnerranney]_b[l.ihsklarnerranney])*4643.055





*******************************************************************************
*** 1981 - 2010 ***************************************************************

sureg (d.real_pc_inc_ann  l.real_pc_inc_ann l.klarnerranney   l.d.real_pc_inc_ann d.klarnerranney  l2.d.real_pc_inc_ann  l.d.klarnerranney  l3.d.real_pc_inc_ann l2.d.klarnerranney  l4.d.real_pc_inc_ann l3.d.klarnerranney  l.csi_perc_cap_outlays l.d.csi_perc_cap_outlays l.right_to_work l.d.right_to_work  l.csi_welf_perc_total l.d.csi_welf_perc_total l.nonfarm_persinc l.d.nonfarm_persinc l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified  i.state_fips i.year) (d.klarnerranney  l.klarnerranney l.real_pc_inc_ann l.d.klarnerranney d.real_pc_inc_ann  l2.d.klarnerranney  l.d.real_pc_inc_ann  l3.d.klarnerranney l2.d.real_pc_inc_ann  l4.d.klarnerranney l3.d.real_pc_inc_ann  l.gov_party l.d.gov_party l.dem_unified l.d.dem_unified l.rep_unified l.d.rep_unified l.electedjudges1 l.d.electedjudges1  i.state_fips i.year) if year >1980 & oldsouth==1, corr

predict real_pc_inc_annhatallpost if year>1980 & oldsouth==1, equation(D_real_pc_inc_ann)

predict klarnerranneyhatallpost if year>1980 & oldsouth==1, equation(D_klarnerranney)


***** INCOME TESTS*****

* TESTING INCOME ERROR CORRECTION RATE *

test [D_real_pc_inc_ann]l.real_pc_inc_ann = 0 


* TESTING INCOME FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENIETY)*

test [D_real_pc_inc_ann]l.real_pc_inc_ann = [D_real_pc_inc_ann]l.klarnerranney = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_real_pc_inc_ann]d.klarnerranney +  [D_real_pc_inc_ann]l.d.klarnerranney +  [D_real_pc_inc_ann]l2.d.klarnerranney +  [D_real_pc_inc_ann]l3.d.klarnerranney 


* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_real_pc_inc_ann]_b[l.klarnerranney]/-[D_real_pc_inc_ann]_b[l.real_pc_inc_ann] 


sum klarnerranney   if real_pc_inc_annhatallpost!=. & year > 1980 & oldsouth==1, detail



* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS  OF  klarnerranney ON real_pc_inc_ann:  75TH PERCENTILE VALUE OF klarnerranney MINUS 25TH PERCENTILE VALUE OF klarnerranney FOR EFFECTIVE SAMPLE PERIOD *


nlcom  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*81.81818  -  ([D_real_pc_inc_ann]_b[l.klarnerranney] / - [D_real_pc_inc_ann]_b[l.real_pc_inc_ann])*39.04762


***** PC TESTS *****


* 

* TESTING PARTISAN COMPETITION ERROR CORRECTION RATE *

test [D_klarnerranney]l.klarnerranney = 0


* TESTING PARTISAN COMPETITION FOR COINTEGRATION VIA LONG-RUN COEFFICIENT JOINT EQUALITY WITH ZERO (WEAK EXOGENEITY)*

test [D_klarnerranney]l.klarnerranney = l.real_pc_inc_ann = 0



* ESTIMATING CUMULATIVE SHORT-RUN EFFECTS FOR NON-LEFT-HAND SIDE VARIABLE *

lincom  [D_klarnerranney]d.real_pc_inc_ann  +  [D_klarnerranney]l.d.real_pc_inc_ann  +  [D_klarnerranney]l2.d.real_pc_inc_ann  +  [D_klarnerranney]l3.d.real_pc_inc_ann 


* TESTING FOR LONG-RUN MULTIPLIER EFFECT *

nlcom [D_klarnerranney]_b[l.real_pc_inc_ann]/-[D_klarnerranney]_b[l.klarnerranney]




sum real_pc_inc_ann   if klarnerranneyhatallpost!=. & year > 1980 & oldsouth==1, detail


* TOTAL/DYNAMIC MULTIPLIER & BASELINE LONG-RUN EFFECTS  OF  real_pc_inc_ann ON klarnerranney:  75TH PERCENTILE VALUE OF real_pc_inc_ann MINUS 25TH PERCENTILE VALUE OF real_pc_inc_ann FOR EFFECTIVE SAMPLE PERIOD 


nlcom  ([D_klarnerranney]_b[l.real_pc_inc_ann] / - [D_klarnerranney]_b[l.klarnerranney])* 14367.06   -  ([D_klarnerranney]_b[l.real_pc_inc_ann] / - [D_klarnerranney]_b[l.klarnerranney])* 11208.2




restore






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